CONSUMER BEHAVIOUR

Equivalent QCF level:

Credit Value:
Learning time (hours):

Level 5
15
150

UNIT PURPOSE
Provides the learner with an understanding how the field of marketing is influenced by the actions of
consumers, and also how consumers are influenced by marketers. It also identifies consumer behaviour
as an important component of marketing analysis in examining and diagnosing problems and reaching
effective decisions.

UNIT INTRODUCTION
The main aim of this unit is to help learners understand consumer behaviour in business-to-consumer
(B2C) markets.
Thus, the unit will focus on behaviour of consumers and the psychological and environmental influences.
Here, the influences will be explored from a behavioural science perspective by examining the following
areas: attention, perception, memory, learning, attitude, motivation, socio-cultural influences, life-style
perspectives and the consumer decision-making process.
Finally, the importance of customers in effective consumer marketing and a range of theoretical
perspectives will be discussed. Examples will be explored to demonstrate the relationship between
theory and practice in a consumer market environment, and new perspectives in the study of consumer
behaviour such as neuromarketing will be explored.

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Consumer Behaviour

LEARNING OUTCOMES, ASSESSMENT CRITERIA AND CONTENT

To pass this unit, the learner must generate evidence that demonstrates all learning outcomes have been met through the achievement of all the units
assessment criteria.

Learning outcomes
On completion of this unit, the learner will:
01

Understand the psychological

and environmental variables
that influence consumer
behaviour

Assessment criteria
On completion of this unit, the learner can:
1.1 Describe the background to
consumer behaviour and related
market place of an organisation
1.2 Identify theories related to
consumer behaviour
1.3 Describe a variety of psychological
and environmental variables that
influence consumers
1.4 Discuss the importance and
limitations of social and behavioural
sciences and consider their
application to marketing

Content
Consumer Behaviour: the study of the processes involved
when individuals or groups select, purchase, use or dispose
of products, services, ideas or experiences to satisfy needs
and desires
Psychological factors: Perception, learning, motives, needs,
beliefs and attitude, social influence
External environmental factors: Culture, social, family,
economic, lifestyle influences
Consumer Behaviour theories: The cardinal theory, the
ordinal theory, nudges theory (Sunstein & Thaler)
Behavioural Sciences: involves fields like psychology, social
neuroscience and cognitive science, behavioural economics
Social Sciences: include fields like sociology, economics,
public health, anthropology, demography and political
science

LEARNING OUTCOMES, ASSESSMENT CRITERIA AND CONTENT

Personality traits: Openness, conscientiousness,

extraversion, agreeableness, neuroticism

02

Understand processes for

consumer decision making

2.1 Identify various ways of analysing

consumer buying decisions
2.2 Describe consumer decision making
processes and explain each element

Analysing consumer buying decisions: Economic models,

psychological models, consumer behaviour models
Consumer Decision Making Process: Problem/Need
Recognition, Information Search, Evaluation of Alternatives,
Purchase and Post Purchase Behaviour, Nudging, for
example to encourage organ donation in Spain compared
with the UK
Nature of Buying Decisions: Low-Involvement versus highinvolvement buying decisions

LEARNING OUTCOMES, ASSESSMENT CRITERIA AND CONTENT

03

Understand the relationship

between consumer behaviour and
business marketing activities

3.1 Apply consumer behaviour theories to

marketing in practice
3.2 Identify the relationship between
marketing mix and consumer
Behaviour including:
Product
Branding
Packaging
Promotion
advertising
3.3 Identify the implications of ethical and
legal issues in marketing activities
3.4 Describe how to use technological
advances in consumer behaviour
3.5 Apply consumer behaviour insights to
marketing activities

Market analysis: consumer, conditions, competitor and the

company
Marketing Research: Who buys? How do they buy? When
do they buy? Where do they buy? Why do they buy?
Branding: Packaging, brand memory, attention, recognition
Marketing mix and consumer behaviour: cost,
convenience, communication and consumer
Ethics: moral thinking, beliefs, values, nudging
Legal concerns: Consumer Privacy, Marketing to Children,
Regulations, Advertising Practices, Product Liability, Pricing
Issues
Online consumption Trends: Internet markets, influencing
the crowd, consumer engagement, multi-channel platforms
Marketing tactics and strategies: social media marketing,
mobile marketing, digitisation, referral marketing, online
advertising, nudging

GUIDANCE FOR TUTORS

DELIVERY & ASSESSMENT

It is important that tutors use a range of teaching and guidance methods to ensure that their learners
meet the intended learning outcomes for this unit. This would include participating or revising lectures/
notes, attending webinars, workshops, individual/group assessments and mock/draft feedback for
assignments. However, learners should always be encouraged to participate in independent learning
using the resources on the IMSS, e-library and Mintel reports. Learners need to use analytical thinking,
participative approaches and investigative mindsets in order to be able to enhance their learning
experience through reflection of theory in conjunction with their own experience. It is important to
plan the delivery of the unit to ensure that learners have enough time to undertake the relevant
research needed to meet the learning outcomes and to facilitate self-learning.
Learning outcome 1 gives an understanding of psychological and external factors that can influence
consumer behaviour. These factors will cause consumers to either increase or decrease their demand
for a product, and it is therefore important for learners to understand that consumer buying behaviour
determines how consumers decide to buy products and what the various factors responsible for their
decisions are. Tutors can provide information on various psychological and external factors that
impact consumer buying decisions; for example, personal factors, environmental factors, etc. Tutors
should also discuss consumer behaviour theories. Learners will ultimately be able to identify the
practical aspects of these influential factors in real-world scenarios.
Learning outcome 2 covers the consumer decision-making process. Tutors can provide theoretical
information on the steps involved in this process, including the delineation of methods that can be
used to analyse consumer buying decisions. Learners can relate this to real-world purchasing
situations in both B2C and Business to Business (B2B) contexts.
The third learning outcome explains the alignment of consumer behaviour with marketing activities.
This will enable the learner to understand how important this component of marketing analysis is in
examining and diagnosing problems, and in reaching effective decisions. Tutors can provide
marketing and consumer behaviour related concepts in order for the learners to establish an
understanding of the relationship between them.

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Consumer Behaviour

GUIDANCE FOR TUTORS

OUTLINE LEARNING PLAN

The following outlined learning plan can be used as a guidance document in conjunction with the unit
assessment. It is simply a way in which this unit can be delivered.
TOPIC AND SUGGESTED ASSIGNMENTS/ACTIVITIES/ASSESSMENT
Introduction to unit and programme of learning
Tutor discussion on the theoretical models and concepts; statistical business indicators, data
analysis tools and the use of statistical packages
Learner input on practical examples on analysing data using statistical methods
Learner research on data management contributing to Assignment 1
Review of unit and programme of assignments

PROGRAMME OF SUGGESTED ASSESSMENT/ASSIGNMENTS

The following table illustrates the respective assessments for the unit and identifies the
corresponding assessment criteria.
Assessment
Criteria
covered
1.1,1.2,1.3,1.4,
2.1,2.2,3.1,3.2,
3.3, 3.4, 3.5

Assignment
title
Assignment 1

Assessment
method

Scenario
As the Business Development
Manager of an organisation of your
choice, you have been requested to
produce a report to your CEO that
encompasses the following aspects.
1 Conduct a SWOT analysis to
understand the organisations
current position in the market
in relation to its marketing
functions

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Consumer Behaviour

Report

GUIDANCE FOR TUTORS

PROGRAMME OF SUGGESTED ASSESSMENT/ASSIGNMENTS

Assessment
Criteria
covered
1.1,1.2,1.3,1.4,
2.1,2.2,3.1,3.2,
3.3, 3.4, 3.5

Assignment
title

Assessment
method

Scenario

Assignment 1
Cont.

2 Use one of the key

products/services offered by
the organisation of and explain
how three environmental
variables and three
psychological variables
influence the potential
customers decision making
process in relation to the
chosen product/service in its
current market and in a
potential foreign market
3 Explain how consumer
behaviour has influenced the
adaptation of the organisations
marketing mix in relation to the
product/service chosen in the
above section.
Assuming that the organisation
intends expanding to a foreign
market, conduct an audit that
reflects the following elements:

Define marketing objectives that

the organisation intends to
achieve in its new geographical
location and predict the extent
to which the current marketing
activities can be adapted to suit
this scenario

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Consumer Behaviour

Report

GUIDANCE FOR TUTORS

PROGRAMME OF SUGGESTED ASSESSMENT/ASSIGNMENTS

Assessment
Criteria
covered

Assignment
title

Scenario

Assessment
method

1.1,1.2,1.3,1.4,
2.1,2.2,3.1,3.2,
3.3, 3.4, 3.5

Assignment 1
Cont.

Identify and explain 2 theoretical

concepts underpinning the
globalisation process and
identify with adequate
justification the approach
followed by the organisation of
your choice

Report

1.1,1.2,1.3,1.4,
2.1,2.2,3.1,3.2,
3.3, 3.4, 3.5

Assignment 1
Cont.

Critically evaluate of the

behavioural trends and patterns
as well as the Macro
Environmental factors that affect
the consumer buying behaviour
in its new geographical locations

Report

Explain how the following elements

will affect the organisations
international business management
process:

International Human Resource

Management

International marketing

International Logistics

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Consumer Behaviour

RESOURCES

TEXTBOOKS

Solomon M et al (2010) Consumer Behaviour: A European Perspective, 4th Edition FT Prentice

Hall, England

Blackwell, Miniard and Engel (2006) Consumer Behaviour 10th Edition, Thomson South
Western

Arnould, Price and Zinkhan (2004) Consumers (International Edition) McGraw Hill

Schiffman and Kanuk (2010) Consumer Behaviour 10th (Global) Edition Pearson

Foxall G et al (2005) Consumer Psychology for Marketing, Thomson, London

Baker S (2003) New Consumer Marketing, Wiley

Gross R (1996) Psychology: the Science of Mind and Behaviour. Hodder and Stoughton
JOURNALS

Journal of Marketing Communications

International Journal of Integrated Marketing Communications

Journal of Interactive Advertising

Journal of Advertising Research

WEBSITES

The Marketer

http://www.themarketer.co.uk/

Forbes

http://www.forbes.com

Hubspot

http://blog.hubspot.com/

B2B Marketing

http://www.b2bmarketing.net/

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Consumer Behaviour